20-40% performance fee (with high watermark) for Forex traders

FXTopGunTrading posted:
https://www.myfxbook.com/members/FXTopGunTrading/fxtopguntrading/143610

Pip Expectancy: 40.43 (if my calculation is correct)
Expectancy Ratio: 5.60

Thanks for the details, I added your account to my watch list!

You're system looks very profitable, but I need a longer history to commit to even try it on one of my accounts. Also if you have a REAL account where you are trading it, showing that would very much increase your reputation (one of the first questions you'll be asked when offering to manage other's people money, or sell/lease your system, will be: 'if you system is as good as you say, why do you trade it in a DEMO account?').

About the expectancy: using the data available today (9/3), I see 29 trades that brought 1463.6 pips into your account. That means the Pip Expectancy is 1463.6 / 29 = 50.47, which is quite good (considering your system is swing trading, it's actually expected to have double digit values for this metric). Since your average loss is 62.78 pips, your Expectancy Ration come out as 50.47 / 62.78 = 0.80, which again is very good.

Keep on trading the way you have shown in this DEMO account, and I'm sure you'll have a bright future ;)

Have a great weekend,

Remus

SaltyWaters posted:
    <a href='' target='_blank'><img src=''/></a>

Hi SaltyWaters,

Can you provide more details? There is nothing in that picture that would allow me (or anyone else reading this thread) to evaluate how profitable your system/method is. Win % values, without the average pip gain/loss, are pretty much useless. Also to compute the metrics I'm using (the most talked about in this thread are Pips Expectancy and Expectancy Ratio), I'll also need the total number of pips made by the 40 trades shown in the picture.

Thanks a lot!

NextLevelForex posted:
    

SaltyWaters posted:
    <a href='' target='_blank'><img src=''/></a>

Hi SaltyWaters,

Can you provide more details? There is nothing in that picture that would allow me (or anyone else reading this thread) to evaluate how profitable your system/method is. Win % values, without the average pip gain/loss, are pretty much useless. Also to compute the metrics I'm using (the most talked about in this thread are Pips Expectancy and Expectancy Ratio), I'll also need the total number of pips made by the 40 trades shown in the picture.


This is a report from one of my Live/Real Accounts. The total number of pips made by the 40 trades shown in the picture are in the picture if you look at the Equity it shows 120579 because of the 5 digit broker so you take one digit off and the Total pips made is 12057 since the beginning of the year.

I will provide detail from another Live/Real account on my next post.

Thanks a lot!

The following are from another Live/Real Account started on 03-15-2011


<a href='' target='_blank'><img src=''/></a><a href='' target='_blank'><img src=''/></a>

SaltyWaters posted:
This is a report from one of my Live/Real Accounts. The total number of pips made by the 40 trades shown in the picture are in the picture if you look at the Equity it shows 120579 because of the 5 digit broker so you take one digit off and the Total pips made is 12057 since the beginning of the year.

Thanks for the prompt reply! The picture provided is misleading at best. Equity and Balance mean, to every trader I know, the amount of money you have in your account, not pips realized through trading.

The second picture you have attached seems to be a MetaTrader report. If that's the case, you'll have a much more convincing proposition by linking your account to Myfxbook and verifying it. From the report you provided, I cannot get any of the metrics I'm calculating to evaluate trading systems.

Take care,

Remus

Hey Remus

Ben of FXTopGunTrading, thanks for adding my system to your watch list and explaining the Pip Expectancy/Ratio. Yes, I understand I have only one month of data for you to look over and that more time and trades are needed, no problem. I will continue posting my trades here at myfxbook.

Thanks...
Ben Williams

NextLevelForex posted:
    

SaltyWaters posted:
This is a report from one of my Live/Real Accounts. The total number of pips made by the 40 trades shown in the picture are in the picture if you look at the Equity it shows 120579 because of the 5 digit broker so you take one digit off and the Total pips made is 12057 since the beginning of the year.

Thanks for the prompt reply! The picture provided is misleading at best. Equity and Balance mean, to every trader I know, the amount of money you have in your account, not pips realized through trading.

The second picture you have attached seems to be a MetaTrader report. If that's the case, you'll have a much more convincing proposition by linking your account to Myfxbook and verifying it. From the report you provided, I cannot get any of the metrics I'm calculating to evaluate trading systems.

Take care,

Remus

It's showing in pips because I have the option to show it in either way. In this case it was set to show how many pips I have realized (Equity) and how many I have done in Total (Balance). It's just a matter of switching it to dollars.
In pips I can see the pair's performance in pips.

I don't want to connect my platforms to Myfxbook because how do I know if there isn't a script that will read all my MT4 folders and copy my code.

Anyhow I should mention, the fee that I do charge is 25% for the investor and 75% for my work.


Cheers,

Salty

SaltyWaters posted:
    

NextLevelForex posted:
    

SaltyWaters posted:
This is a report from one of my Live/Real Accounts. The total number of pips made by the 40 trades shown in the picture are in the picture if you look at the Equity it shows 120579 because of the 5 digit broker so you take one digit off and the Total pips made is 12057 since the beginning of the year.

Thanks for the prompt reply! The picture provided is misleading at best. Equity and Balance mean, to every trader I know, the amount of money you have in your account, not pips realized through trading.

The second picture you have attached seems to be a MetaTrader report. If that's the case, you'll have a much more convincing proposition by linking your account to Myfxbook and verifying it. From the report you provided, I cannot get any of the metrics I'm calculating to evaluate trading systems.

Take care,

Remus

It's showing in pips because I have the option to show it in either way. In this case it was set to show how many pips I have realized (Equity) and how many I have done in Total (Balance). It's just a matter of switching it to dollars.
In pips I can see the pair's performance in pips.

I don't want to connect my platforms to Myfxbook because how do I know if there isn't a script that will read all my MT4 folders and copy my code.

Anyhow I should mention, the fee that I do charge is 25% for the investor and 75% for my work.


Cheers,

Salty

if your harddrive is not shared they cant read anything from it. fyi

I hate math, really hate :(

Is my calculation correct??

Here's my data on (9/3) :

total trade : 500
total pips gain : 13463
averages win pips : 45.59
averages loss pips : 60.45

Pip expectancy : 13463/500 = 26.92
Expectancy ratio : 26.92/60.45 = 0.44

It's good or bad trades??

my account : https://www.myfxbook.com/members/copett/opera-van-java/107647


Thanks for your help :)

regards,

copett

FXTopGunTrading posted:
Yes, I understand I have only one month of data for you to look over and that more time and trades are needed, no problem. I will continue posting my trades here at myfxbook.

Sounds good, Ben! If your performance is consistent, you'll hear from me pretty soon!

SaltyWaters posted:
I don't want to connect my platforms to Myfxbook because how do I know if there isn't a script that will read all my MT4 folders and copy my code.

Thanks for the details, it makes more sense now.

About connecting to myfxbook: they recently added a new way of publishing your account, where you only need to give them the investor password. No more running anything on your computer! I'm using that for all my accounts, and even though it's in Beta, and sometimes the accounts do not update as expected (every 5 minutes), I really like it since I don't have to maintain my MT4 for myfxbook EA, and use VPS resources for it.

copett posted:
Is my calculation correct??

Pip expectancy : 13463/500 = 26.92
Expectancy ratio : 26.92/60.45 = 0.44

It's good or bad trades??

I checked and yes, your math is correct :)

And just by looking at those 2 metrics, your account performance is very good. I added it to my watch list, and will contact you with more questions, should I decide to consider it for my portfolio.

Thanks for posting, and enjoy your weekend!

.

.

Chikot,

I would like to know how did you see that trades went against him by 500 pips. Did you find him on InstaForex PAMM, where the equity is correctly calculated, not like on myfxbook? Or simply looked at the trades that took a long time, and checked the charts?

About leverage: InstaForex lots mean 10 times less than on 'normal' brokers. So the first trade, with 1.00 lots on EURUSD, means 1 minilot, not 1 full lot. Even 1 minilot is too much for that account, but only the first trade was like that, and I assumed it was a mistake when setting up the EA or entering the trade manually. Since that first trade, I could only spot 3 more trades with 1 minilot, all in the first two weeks of trading. Everything since then was done with 1 or 2 nanolots...

At this point I'm just collecting pointers to supposedly good systems. I'm going to watch them for a while, and if the performance holds, analyze them in more detail. But even at this early stage I appreciate any insight other people, like you, can offer on the systems discussed here.

Thank you very much!

I noticed another account.
Here the screenshort. I noticed some trades were on for days and were closed at small profit or loss. so, i went to gbp/usd chart and checked on time of open and close and what price did in between. price went on few trades pretty far against the trade and more was added. then trades were closed for less loss.
I have been trading long enough to look for such things.
It means no predetermined stop.
last trade had huge leverage. 55 pips 65% + , but it could go another way...
trade that was on 13 days went against position about 500 pips.

<a target='_blank' title='ImageShack - Image And Video Hosting' href='/'><img src='' border='0'/></a>

Uploaded with <a target='_blank' href='https://imageshack.us'>ImageShack.us</a>

I think due diligence here is important for all involved. Trader should learn as well from others mistakes.
I have my own flaws but I do cut my losses quickly.
I am working on trade quality and hit rate and obviously patience to wait for those.

Chikot, Remus,

Thanks for touching me :)

Okay, let me explain about my trading. Both of you are right. My system need 30.000 pips to work, I use 8 EA's so I need much balance. If Chikot see my trades against me 500 pips, he was wrong!! Absolutely my trades againts me more than 2000 pips.
You can see, on middle August my system bring me down for about 10%.

-Balance $486, equity $440....... so I'm in floating $46.
-lot : 0.02(insta)=0.002 (standard broker)
-Total floating pips : $46/0.02= 2300 pips

If you see my system had large floating minus, you are right. The most important how to keep the equity, not how much floating in pips. Every trader has different strategy :)

Regards,

copett

Just a little curiosity about my system:


<a href='' target='_blank'><img src=''/></a>




Starting with $20,000 and compounding at 12% per month after 5 years (60 months) one will end up with $17.95 million.
And if one takes 10% of the profits every month will end up with round about $10 million

This is no guarantee of course and the settings can be adjusted to be safer or riskier according to ones taste. The size of the lots increases gradually with the Balance

I started with 3 accounts (Real Accounts) with a total of $8500 in March 2011 and my 3 accounts are now at $22500



Cheers,

Salty